Headline equities of the Asia Pacific market mostly higher in subdued
trade on Monday, 06 April 2015, on growing expectation that US Fed would
delay an interest rate hike in the U.S. after softer-than-expected
nonfarm payrolls figure.
Weaker-than-expected US jobs data released on Friday, 3 April 2015, has led to investors delaying expectations of an increase in the US Federal Reserve's key interest rate. Closely watched US payrolls data showed employers sharply cut back hiring in March, with the world's leading economy generated 126,000 net new jobs in March, half of what was expected and the worst month since December 2013.
Trading activity in Asia remained subdued with many traders still away from their desks for the Easter vacation and other public holidays. Share market of China, Hong Kong, Taiwan, Australia and New Zealand were closed.
Nikkei falls 0.2%
Japanese share market closed lower in thin trade, as yen appreciation against the greenback triggered profit booking, with shares of yen sensitive exporters being major losers. The benchmark Nikkei 225 index declined 37.10 points, or 0.19%, to finish at 19397.98, while the broader Topix index of all first-section shares fell 3.45 points, or 0.22%, to 1560.71.
Shares of export related companies closed mixed after the yen was relatively stronger against US dollar, making their goods more expensive abroad. Toshiba Corp dropped 4.9% to 487.40 yen, Nissan Motor Co 1.6% to 1209 yen, Fuji Heavy Industries 1.5% to 4069.50 yen and Hitachi Construction Machinery Co 1.4% to 2110 yen. Honda Motor Co jumped 1% to 4036 yen. Sony Corp rose 0.9% to 3482.50 yen and Canon Inc 1% to 4445.50 yen.
Toyota Motor was down 1.1% to 8333 yen after automaker announcing plans to restart plant building following a three-year freeze. Media reports said the company plans to spend $1.25 billion on factories in Mexico and China.
Sharp Corp jumped 6.1% to 245 yen following news that the loss-making firm may spin off its LCD panel business and seek funding from government-backed Innovation Network Corporation of Japan (INCJ).
Shippers were also lower, inline with drop in shipping freight rate index. The Baltic Dry index declined 1.3% to 588 on last Thursday. Kawasaki Kisen Kaisha was down 3.1% to 316 yen, Nippon Yusen KK down 2% to 340 yen and Showa Denko KK down 2% to 150 yen.
Sensex rises
Indian benchmark indices extended intraday gains in afternoon trade. The market breadth indicating the overall health of the market was strong. At 13:16 IST, the S&P BSE Sensex was up 62.62 points or 0.22% at 28,322.76. The CNX Nifty was up 13.70 points or 0.16% at 8,599.95.
Bank stocks were mixed ahead of a monetary policy review from the Reserve Bank of India (RBI) scheduled tomorrow, 7 April 2015. Shares of Kotak Mahindra Bank and ING Vysya Bank, both, extended gains registered during the previous trading session triggered by Reserve Bank of India (RBI) approving the merger of ING Vysya Bank with Kotak Mahindra Bank. ONGC edged higher after the company said that promoters of ONGC Tripura Company (OTPC) with ONGC as one of the promoters have entered into definitive agreements with India Infrastructure Fund II by which the latter will be acquiring 23.5% stake in OTPC.
The Reserve Bank of India (RBI) is widely expected to keep its benchmark lending rate viz. the repo rate unchanged at first bi-monthly Monetary Policy for 2015-16 scheduled tomorrow, 7 April 2015, as Governor Raghuram Rajan waits to see how RBI's recent rate cuts percolate through the country's financial system.
The government after trading hours on Wednesday, 1 April 2015, in its five-year Foreign Trade Policy 2015-20 (FTP 2015-20) announced the launch of a new Merchandise Exports from India Scheme (MEIS) for export of specified goods to specified markets. Meanwhile, the outcome of a survey on Thursday, 2 April 2015, showed that manufacturing activity in India witnessed an overall improvement last month.
Foreign portfolio investors (FPIs) bought shares worth a net Rs 209.87 crore during the previous trading session on Wednesday, 1 April 2015, as per provisional data released by the stock exchanges. Domestic institutional investors (DIIs) bought shares worth a net Rs 197.25 crore on Wednesday, 1 April 2015, as per provisional data. The stock market was closed on 2 April and 3 April on account of holidays.
Weaker-than-expected US jobs data released on Friday, 3 April 2015, has led to investors delaying expectations of an increase in the US Federal Reserve's key interest rate. Closely watched US payrolls data showed employers sharply cut back hiring in March, with the world's leading economy generated 126,000 net new jobs in March, half of what was expected and the worst month since December 2013.
Trading activity in Asia remained subdued with many traders still away from their desks for the Easter vacation and other public holidays. Share market of China, Hong Kong, Taiwan, Australia and New Zealand were closed.
Nikkei falls 0.2%
Japanese share market closed lower in thin trade, as yen appreciation against the greenback triggered profit booking, with shares of yen sensitive exporters being major losers. The benchmark Nikkei 225 index declined 37.10 points, or 0.19%, to finish at 19397.98, while the broader Topix index of all first-section shares fell 3.45 points, or 0.22%, to 1560.71.
Shares of export related companies closed mixed after the yen was relatively stronger against US dollar, making their goods more expensive abroad. Toshiba Corp dropped 4.9% to 487.40 yen, Nissan Motor Co 1.6% to 1209 yen, Fuji Heavy Industries 1.5% to 4069.50 yen and Hitachi Construction Machinery Co 1.4% to 2110 yen. Honda Motor Co jumped 1% to 4036 yen. Sony Corp rose 0.9% to 3482.50 yen and Canon Inc 1% to 4445.50 yen.
Toyota Motor was down 1.1% to 8333 yen after automaker announcing plans to restart plant building following a three-year freeze. Media reports said the company plans to spend $1.25 billion on factories in Mexico and China.
Sharp Corp jumped 6.1% to 245 yen following news that the loss-making firm may spin off its LCD panel business and seek funding from government-backed Innovation Network Corporation of Japan (INCJ).
Shippers were also lower, inline with drop in shipping freight rate index. The Baltic Dry index declined 1.3% to 588 on last Thursday. Kawasaki Kisen Kaisha was down 3.1% to 316 yen, Nippon Yusen KK down 2% to 340 yen and Showa Denko KK down 2% to 150 yen.
Sensex rises
Indian benchmark indices extended intraday gains in afternoon trade. The market breadth indicating the overall health of the market was strong. At 13:16 IST, the S&P BSE Sensex was up 62.62 points or 0.22% at 28,322.76. The CNX Nifty was up 13.70 points or 0.16% at 8,599.95.
Bank stocks were mixed ahead of a monetary policy review from the Reserve Bank of India (RBI) scheduled tomorrow, 7 April 2015. Shares of Kotak Mahindra Bank and ING Vysya Bank, both, extended gains registered during the previous trading session triggered by Reserve Bank of India (RBI) approving the merger of ING Vysya Bank with Kotak Mahindra Bank. ONGC edged higher after the company said that promoters of ONGC Tripura Company (OTPC) with ONGC as one of the promoters have entered into definitive agreements with India Infrastructure Fund II by which the latter will be acquiring 23.5% stake in OTPC.
The Reserve Bank of India (RBI) is widely expected to keep its benchmark lending rate viz. the repo rate unchanged at first bi-monthly Monetary Policy for 2015-16 scheduled tomorrow, 7 April 2015, as Governor Raghuram Rajan waits to see how RBI's recent rate cuts percolate through the country's financial system.
The government after trading hours on Wednesday, 1 April 2015, in its five-year Foreign Trade Policy 2015-20 (FTP 2015-20) announced the launch of a new Merchandise Exports from India Scheme (MEIS) for export of specified goods to specified markets. Meanwhile, the outcome of a survey on Thursday, 2 April 2015, showed that manufacturing activity in India witnessed an overall improvement last month.
Foreign portfolio investors (FPIs) bought shares worth a net Rs 209.87 crore during the previous trading session on Wednesday, 1 April 2015, as per provisional data released by the stock exchanges. Domestic institutional investors (DIIs) bought shares worth a net Rs 197.25 crore on Wednesday, 1 April 2015, as per provisional data. The stock market was closed on 2 April and 3 April on account of holidays.
